Effect Of E-Procurement Practices On Mro Performance Of Ethiopian Airlines Group By:
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Date
2020-07
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Addis Ababa University
Abstract
The adoption of electronic-procurement platforms enables the organization to improve its
operational performance. However, the advantage of e-procurement has varied depending on the
implementation context. The title of this study was Effect of electronic-procurement practices on
MRO performance of the Ethiopian airlines group. The objective of this study was to assess the
link between electronic-procurement practices and Ethiopian airlines group maintenance, repair
and overhaul operational performance in terms of cost, quality and delivery. In this study, the
MRO performance in terms of cost, quality and delivery are the dependent variables and Eprocurement practices consists electronic-sourcing, electronic-tendering, electronic-ordering,
electronic-invoicing and electronic-payment formed as the independent variables. The scope of
the study was limited on Ethiopian Airlines Group Maintenance, Repair and Overhaul Addis
Ababa Ethiopia. The study used descriptive and explanatory research designs. Both Qualitative
and quantitative approach have been used in this study. Regarding sample size, 125 respondents
have been approached from the total number of 293 populations. Primary data was used, the data
was gathered through questionnaire surveys and semi-structured interview. Descriptive statics
(such as mean, percentage and standard division) and inferential statics (such as multiple linear
regression and diagnostic tests analysis) have been used and for the inferential statics STATA14
software had been used. Content validity has been addressed through the review of literature and
adapted instruments used in previous studies. Pilot test and Cronbach’s alpha statistics have been
conducted for reliability test. The result shown that electronic Sourcing, electronic ordering,
electronic invoicing and electronic payment have been adopted by the Ethiopian maintenance,
repair and overhaul to a small extent but the result shown no extent for electronic tendering.
Further the result shown that the thirteen among fifteen developed hypotheses were supported by
the study. The study recommends the Ethiopian airlines group Maintenance, repair and overhaul
to invest more in electronic-procurement and to make amendment on the procurement policy and
producers of the organization so as to conceder electronic-procurement. Moreover, the study
recommends for further research assessing the effect of E- procurement practices on the
operational performance in other case organization by including other operational performance
indicators.
Key words:
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Keywords
E-procurement, Maintenance, Repair and Overhaul (MRO), Operation, performance.